I had accumulated Rs50 lakh for my daughter’s wedding by investing in mutual funds for 15 years. My daughter will get married in November and I want to park this money in debt funds. However, I have never invested in them. Please suggest few schemes where I can park this money. —Paresh Rana
Firstly, congratulations on employing mutual funds for saving and investing for a financial goal and realizing it after all these years. For a time period of 6-9 months, you cannot take much risk with the money you have. Even among debt funds, there are schemes that could be considered risky (funds such as gilt funds and credit risk funds). It’s best for you to stay with liquid funds and ultra short-term funds. Parking 50% of your money in well-rated funds in these two categories would keep your money relatively safe and could give you returns better than short-term fixed deposit or bank savings accounts.
